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Mylan Reacts to EpiPen Backlash
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EpiPen's price has jumped 550% over 8 years. Mylan Pharmaceuticals is dominant in the $1 billion market for treating serious allergic reactions. Mylan acquired reights to sell EPiPen in late 2007. A pack of two list price is now $608.61. Last Nov. Sanofi's competing product Auvi-Q was recalled giving Mylan price dominance. A problem for consumers is that EpiPen expires in one year. Mylan launched a campaign to make parents aware of the product for children with peanut and other allergies, and also lobbied the governments to make ready supply of EpiPens available in schools and other public places. Now the controversy over price increases, with Hillary Clinton citing this as an example of exorbitant pharmaceutical pricing, is likely to change the environment around EpiPen and other overpriced drugs or healthcare products.
The renewed debate on drug pricing after the EpiPen price increases by Mylan Pharmaceutical
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Mylan Reacts to EpiPen Backlash
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Pricing of healthcare services and pharmaceuticals as the biggest problem in funding healthcare in the U.S.
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The cost of most healthcare services are double or higher in the U.S. than in Canada, Germany, France and Japan. By not bringing prices in line with the price in other major developed countries, the U.S. is effectively defunding infrastructure, R&D, education and other important means of improving competitiveness say experts. The methods of setting price present in these countries are notably absent in the U.S. The Obama healthcare bill and before that the Bush Medicare Prescription Drug Benefit simply leave this problem unaddressed.
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Bussey points out that cutting drug prices is part of the effort to help consumers and reform the economy of the new leadership of Jinping-Keqiang in China. Consumer spending has dropped in the last decade to 35% of GDP and this is needed for rebalancing the economy, as ordinary Chinese have to set aside a large portion of savings for costly drugs and healthcare.
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Will drug innovation be affected adversely by price reductions in the USA? No say experts as it is a globalized industry and innovation takes place in labs around the world. And the pricing reforms, as in Britian and Germany, can actually encourage R&D for effective drugs with good cost relationships; when comparitive effectiveness of drugs and cost benefit analyses is used in pricing reforms. Pricing of pharmaceutical products and healthcare services is the major unsolved problem in the U.S.
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Rockoff describes the little known ways pharmaceutical companies come up with prices of expensive drugs, using Ibrance as an example.
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Price increases and cost of branded drugs and generic drugs- the pharmaceutical industry in 2011-2014
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Higer cost of specialty drugs for cancer, MS, other diseases, and the efforts by companies to squeeze profits from a shrinking branded portfolio push costs up for branded drugs. Prices of generics decline significantly. Express Scripts study shows 11% increase for branded drugs in 2011-2012 compared to 22% decrease for generics.
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Meeting the cost concerns of governments and insurers. Efforts by pharmaceutical companies.
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Efforts by companies like GlaxoSMithKline to meet cost concerns of governments by linking pricing to the effectiveness of the drugs or treatments. Pharmaceutical pricing an issue with governments.
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Pharmaceutical company and industry lobbying in the U.S. Congress
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The influence on legislation and federal regulation that the pharmaceutical companies and industry associations are seeking, with $168 million spent on lobbying in 2006. As a result pricing of pharmaceutical products and healthcare services is the major unsolved problem in the U.S.
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Pharmaceutical company pricing in the U.S. and Europe
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The pricing of pharmaceutical products and healthcare services in the U.S. and Europe.
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Democrats Say No to Cost Cap for Drug Makers
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Economist 08/27/2009
Large Price Jumps Reported for Small but Vital Drugs
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